Larry King was left stunned when Carrie Prejean threatened to walk off Larry King Live on Tuesday night, when King asked the former beauty queen about the reasons behind her recent settlement with the Miss California USA pageant. Prejean had an ongoing lawsuit against Miss California USA pageant which claimed libel, slander and religious discrimination.

King asked Carrie, “Why settle since you had a fight to carry on?” When she didn’t answer anything then King asked her again,”You can’t even say why you settled?” Whe forced to answer she said,”Larry, it’s completely confidential and you’re being inappropriate.”

King: “So the agreement discusses the motive behind why each party agreed?”

Prejean: “Larry you’re being inappropriate. You really are. So, I’m not going to talk about –”

Finally, King concedes: “Okay, I, uh… inappropriate King Live continues.” He drops the subject and goes to a caller. But the damage is done: before the person on the phone line is halfway through his introduction (“I’m a gay man and I love pageants”), Prejean reaches to disconnect her mic and mouths something to someone off camera.

Watch Larry King Carrie Prejean video below after the jump.

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